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This is an interesting idea, and I think you add some really neat wrinkles to it, but considering it's, well, hangman, it's very frustrating indeed! I'm assuming the idea behind the randomly generated names was to ensure there wasn't any metaknowledge from run to run besides general rules surrounding health and whatnot. I don't really like losing ALL of your MP (that's what I'm assuming it is because I never got to use it) when you miss a letter though; I think maybe having a penalty is better, so you still get some reward for getting on the right track and some penalty for missing a letter but it's no longer like a killstreak bonus.  It is really stylish, though, and the music is nice.